Multilateral Cooperation in Tax Law

S. 2221. Introduction

The Base Erosion and Profit Shifting (BEPS) action plan had a major impact in shaping the current European Union (EU) tax law rules. After and, in some instances, even before, the publication of the 15 reports on the BEPS action plan, the EU adopted and is still planning to adopt legislative measures to implement the BEPS recommendations within its Member States’ legal systems.

A success story is a colloquial expression that voices the idea of an achievement. The word “success” means, with relevance for this analysis, the “prosperous achievement of something attempted”. The aim of this chapter is to further discuss the success of the implementation of BEPS through EU hard law. This will be done mainly by comparing the objectives and recommendations set forth by the Organisation for Economic Co-operation and Development (OECD) and the rules adopted in the approved EU directives. The scope of this study only includes BEPS Actions 2-5 and 12-14 regarding the minimum standards, recommendations, or best practises that are approved as hard law and are not designed to be implemented exclusively through treaties or treaty modification.

The remaining actions or measures are out...